In the current study, storytelling and story retelling by children with autism spectrum disorder (ASD) were analyzed to explore ambiguous third-person pronoun use in narratives. Twenty-three children diagnosed with ASD aged 6;1 to 14;3 and 17 typically-developing (TD) children aged 5;11 to 14;4 participated in the study. In the retelling task, no significant difference between the groups was found, suggesting that in less challenging tasks, children with ASD produce third-person subject pronouns appropriately. In the storytelling task, children with ASD produced more ambiguous third-person subject pronouns than did the TD children. The findings suggest a model in which children with ASD show deficits in the pragmatic domain of producing narratives.